EQUINOR ASA-SPON ADR (EQNR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EQNR - US29446M1027 - ADR
22.91 USD
+0.36 (+1.6%)
22.9941 USD
+0.08 (+0.37%)
EQNR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. While EQNR belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. EQNR is cheap, but on the other hand it scores bad on growth. This makes EQNR very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year EQNR was profitable.
EQNR had a positive operating cash flow in the past year.
Of the past 5 years EQNR 4 years were profitable.
Each year in the past 5 years EQNR had a positive operating cash flow.
1.2 Ratios
EQNR has a Return On Assets (4.22%) which is in line with its industry peers.
EQNR's Return On Equity of 14.13% is fine compared to the rest of the industry. EQNR outperforms 75.60% of its industry peers.
The Return On Invested Capital of EQNR (23.19%) is better than 97.13% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EQNR is significantly above the industry average of 21.47%.
The 3 year average ROIC (33.97%) for EQNR is well above the current ROIC(23.19%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.22% | ||
| ROE | 14.13% | ||
| ROIC | 23.19% |
ROA(3y)11.06%
ROA(5y)6.92%
ROE(3y)32.85%
ROE(5y)20.85%
ROIC(3y)33.97%
ROIC(5y)25.77%
1.3 Margins
The Profit Margin of EQNR (5.35%) is comparable to the rest of the industry.
EQNR's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 27.99%, EQNR is doing good in the industry, outperforming 68.90% of the companies in the same industry.
In the last couple of years the Operating Margin of EQNR has grown nicely.
EQNR has a Gross Margin of 48.66%. This is comparable to the rest of the industry: EQNR outperforms 58.37% of its industry peers.
EQNR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.99% | ||
| PM (TTM) | 5.35% | ||
| GM | 48.66% |
OM growth 3Y-8.38%
OM growth 5Y5.28%
PM growth 3Y-3.8%
PM growth 5Y23.92%
GM growth 3Y-5.36%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EQNR is creating value.
Compared to 1 year ago, EQNR has less shares outstanding
EQNR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, EQNR has a worse debt to assets ratio.
2.2 Solvency
EQNR has an Altman-Z score of 2.44. This is not the best score and indicates that EQNR is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of EQNR (2.44) is better than 74.64% of its industry peers.
EQNR has a debt to FCF ratio of 4.56. This is a neutral value as EQNR would need 4.56 years to pay back of all of its debts.
EQNR's Debt to FCF ratio of 4.56 is fine compared to the rest of the industry. EQNR outperforms 66.51% of its industry peers.
A Debt/Equity ratio of 0.62 indicates that EQNR is somewhat dependend on debt financing.
EQNR's Debt to Equity ratio of 0.62 is in line compared to the rest of the industry. EQNR outperforms 40.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.56 | ||
| Altman-Z | 2.44 |
ROIC/WACC3.37
WACC6.89%
2.3 Liquidity
EQNR has a Current Ratio of 1.23. This is a normal value and indicates that EQNR is financially healthy and should not expect problems in meeting its short term obligations.
EQNR has a Current ratio (1.23) which is comparable to the rest of the industry.
EQNR has a Quick Ratio of 1.12. This is a normal value and indicates that EQNR is financially healthy and should not expect problems in meeting its short term obligations.
EQNR's Quick ratio of 1.12 is in line compared to the rest of the industry. EQNR outperforms 58.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for EQNR have decreased strongly by -28.57% in the last year.
Measured over the past years, EQNR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.82% on average per year.
Looking at the last year, EQNR shows a small growth in Revenue. The Revenue has grown by 2.15% in the last year.
EQNR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.24% yearly.
EPS 1Y (TTM)-28.57%
EPS 3Y-2.27%
EPS 5Y16.82%
EPS Q2Q%-53.16%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y4.92%
Revenue growth 5Y10.24%
Sales Q2Q%2.14%
3.2 Future
The Earnings Per Share is expected to decrease by -0.15% on average over the next years.
Based on estimates for the next years, EQNR will show a decrease in Revenue. The Revenue will decrease by -4.76% on average per year.
EPS Next Y-13%
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
EPS Next 5Y-0.15%
Revenue Next Year-0.1%
Revenue Next 2Y-3.36%
Revenue Next 3Y-1.86%
Revenue Next 5Y-4.76%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.88, which indicates a very decent valuation of EQNR.
EQNR's Price/Earnings ratio is rather cheap when compared to the industry. EQNR is cheaper than 81.34% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.31. EQNR is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.64, which indicates a rather cheap valuation of EQNR.
Based on the Price/Forward Earnings ratio, EQNR is valued cheaper than 87.08% of the companies in the same industry.
EQNR is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.56, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.88 | ||
| Fwd PE | 7.64 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EQNR indicates a rather cheap valuation: EQNR is cheaper than 98.56% of the companies listed in the same industry.
83.25% of the companies in the same industry are more expensive than EQNR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.47 | ||
| EV/EBITDA | 1.24 |
4.3 Compensation for Growth
EQNR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.48%, EQNR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.94, EQNR pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, EQNR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.48% |
5.2 History
The dividend of EQNR is nicely growing with an annual growth rate of 24.62%!
EQNR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)24.62%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
EQNR pays out 101.05% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of EQNR has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP101.05%
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
22.91
+0.36 (+1.6%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners21.2%
Inst Owner Change14.81%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap57.50B
Revenue(TTM)107.07B
Net Income(TTM)5.73B
Analysts49.44
Price Target25.03 (9.25%)
Short Float %4.93%
Short Ratio7.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.48% |
Yearly Dividend3.02
Dividend Growth(5Y)24.62%
DP101.05%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.96%
Min EPS beat(2)-36.86%
Max EPS beat(2)-1.06%
EPS beat(4)0
Avg EPS beat(4)-18.46%
Min EPS beat(4)-36.86%
Max EPS beat(4)-1.06%
EPS beat(8)3
Avg EPS beat(8)-7.11%
EPS beat(12)6
Avg EPS beat(12)-0.27%
EPS beat(16)8
Avg EPS beat(16)0.87%
Revenue beat(2)2
Avg Revenue beat(2)9.54%
Min Revenue beat(2)8.5%
Max Revenue beat(2)10.59%
Revenue beat(4)3
Avg Revenue beat(4)7.52%
Min Revenue beat(4)-0.15%
Max Revenue beat(4)11.14%
Revenue beat(8)5
Avg Revenue beat(8)3.15%
Revenue beat(12)6
Avg Revenue beat(12)-1.48%
Revenue beat(16)10
Avg Revenue beat(16)-0.2%
PT rev (1m)-1.78%
PT rev (3m)-3.52%
EPS NQ rev (1m)-5.03%
EPS NQ rev (3m)-7.68%
EPS NY rev (1m)-9.03%
EPS NY rev (3m)-8.35%
Revenue NQ rev (1m)3.08%
Revenue NQ rev (3m)0.65%
Revenue NY rev (1m)1.08%
Revenue NY rev (3m)0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.88 | ||
| Fwd PE | 7.64 | ||
| P/S | 0.54 | ||
| P/FCF | 8.47 | ||
| P/OCF | 2.83 | ||
| P/B | 1.42 | ||
| P/tB | 1.69 | ||
| EV/EBITDA | 1.24 |
EPS(TTM)2.32
EY10.13%
EPS(NY)3
Fwd EY13.09%
FCF(TTM)2.71
FCFY11.81%
OCF(TTM)8.08
OCFY35.28%
SpS42.66
BVpS16.15
TBVpS13.59
PEG (NY)N/A
PEG (5Y)0.59
Graham Number29.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.22% | ||
| ROE | 14.13% | ||
| ROCE | 29.35% | ||
| ROIC | 23.19% | ||
| ROICexc | 29.7% | ||
| ROICexgc | 32.3% | ||
| OM | 27.99% | ||
| PM (TTM) | 5.35% | ||
| GM | 48.66% | ||
| FCFM | 6.34% |
ROA(3y)11.06%
ROA(5y)6.92%
ROE(3y)32.85%
ROE(5y)20.85%
ROIC(3y)33.97%
ROIC(5y)25.77%
ROICexc(3y)49.28%
ROICexc(5y)37.09%
ROICexgc(3y)53.02%
ROICexgc(5y)40%
ROCE(3y)44.25%
ROCE(5y)33.68%
ROICexgc growth 3Y-4.25%
ROICexgc growth 5Y16.79%
ROICexc growth 3Y-3.9%
ROICexc growth 5Y18.15%
OM growth 3Y-8.38%
OM growth 5Y5.28%
PM growth 3Y-3.8%
PM growth 5Y23.92%
GM growth 3Y-5.36%
GM growth 5Y-0.73%
F-Score5
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 4.56 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 113.26% | ||
| Cap/Sales | 12.6% | ||
| Interest Coverage | 44.4 | ||
| Cash Conversion | 48.43% | ||
| Profit Quality | 118.62% | ||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.44 |
F-Score5
WACC6.89%
ROIC/WACC3.37
Cap/Depr(3y)119.04%
Cap/Depr(5y)96.27%
Cap/Sales(3y)9.19%
Cap/Sales(5y)11.03%
Profit Quality(3y)100.41%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.57%
EPS 3Y-2.27%
EPS 5Y16.82%
EPS Q2Q%-53.16%
EPS Next Y-13%
EPS Next 2Y-3.96%
EPS Next 3Y-0.44%
EPS Next 5Y-0.15%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y4.92%
Revenue growth 5Y10.24%
Sales Q2Q%2.14%
Revenue Next Year-0.1%
Revenue Next 2Y-3.36%
Revenue Next 3Y-1.86%
Revenue Next 5Y-4.76%
EBIT growth 1Y-3.66%
EBIT growth 3Y-3.87%
EBIT growth 5Y16.06%
EBIT Next Year30.46%
EBIT Next 3Y6.74%
EBIT Next 5Y1.93%
FCF growth 1Y-57.61%
FCF growth 3Y-27.45%
FCF growth 5Y17.48%
OCF growth 1Y-22.67%
OCF growth 3Y-11.3%
OCF growth 5Y7.9%
EQUINOR ASA-SPON ADR / EQNR FAQ
What is the ChartMill fundamental rating of EQUINOR ASA-SPON ADR (EQNR) stock?
ChartMill assigns a fundamental rating of 6 / 10 to EQNR.
Can you provide the valuation status for EQUINOR ASA-SPON ADR?
ChartMill assigns a valuation rating of 8 / 10 to EQUINOR ASA-SPON ADR (EQNR). This can be considered as Undervalued.
Can you provide the profitability details for EQUINOR ASA-SPON ADR?
EQUINOR ASA-SPON ADR (EQNR) has a profitability rating of 7 / 10.
What is the valuation of EQUINOR ASA-SPON ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EQUINOR ASA-SPON ADR (EQNR) is 9.88 and the Price/Book (PB) ratio is 1.42.
Can you provide the financial health for EQNR stock?
The financial health rating of EQUINOR ASA-SPON ADR (EQNR) is 5 / 10.